SB 348 Summary

• Amends pharmacy audit procedures by requiring auditing entities to provide written notice at least two weeks before conducting initial on-site audits and to provide documented checklists of items being audited.

• Prohibits pharmacies from being charged back or recouped for clerical or record-keeping errors (including typographical or computer errors) unless the error resulted in overpayment to the pharmacy.

• Limits recoupment amounts to actual overpayments and generally excludes dispensing fees from overpayment calculations unless a prescription was not dispensed, prescriber denied authorization, a medication error occurred, or the overpayment is solely based on an extra dispensing fee.

• Bans extrapolation audits and prohibits auditing entities from compensating employees or contractors based on amounts claimed or recouped during pharmacy audits.

• Establishes a two-year lookback period for audits from the date claims were submitted or adjudicated, and prohibits audits from being initiated during the first five calendar days of any month.